CHINA CHENGTONG (00217) announced that on October 27, 2025, its indirect wholly-owned subsidiary, Chengtong Financial Leasing, entered into two agreements: one with the co-lessees Power Construction Corporation Of China and Wuhan Longyue (the "Wuhan Longyue Agreement"), and another with the co-lessees Power Construction Corporation Of China and Zhengzhou Yuechen (the "Zhengzhou Yuechen Agreement"). Under these agreements, Chengtong Financial Leasing agreed to purchase the leased assets from the respective co-lessees and lease them back for a term of two years from the date of payment, subject to early termination as per the terms of the agreements.
For the Wuhan Longyue arrangement, the total purchase price for the leased assets was RMB 200 million, determined after referencing the total net book value of approximately RMB 215 million as of September 30, 2025. For the Zhengzhou Yuechen arrangement, the total purchase price amounted to RMB 300 million, based on the net book value of around RMB 307 million as of the same date.
Both agreements were executed in the ordinary course of Chengtong Financial Leasing's business. The company expects to generate approximately RMB 12.9 million in revenue from the Wuhan Longyue arrangement and about RMB 19.34 million from the Zhengzhou Yuechen arrangement, comprising service fees and lease interest under the respective agreements.
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